Latest news with #AlliedBlenders
Time of India
12-06-2025
- Business
- Time of India
Is there a market rotation in favour of IT, pharma and auto? Dhananjay Sinha answers
Live Events (You can now subscribe to our (You can now subscribe to our ETMarkets WhatsApp channel CEO & Co-Head– Institutional Equities,, says the IT sector is showing signs of recovery as US-China relations improve, easing investor concerns about order book uncertainty. Potential US tax cuts could further boost the sector. Significant corrections in IT stocks have created attractive valuations, leading to a possible rotation of investments into IT. Pharma and auto sectors may also benefit from this you look at the market profile, there has been a good rebound, I would say, after the initial correction. If you look at the market capitalisation of NSE, it had actually shrunk by almost like Rs 90 lakh crore to the lows in February or end of February and from there on, the market cap erosion has actually narrowed quite substantially because of the recovery that has happened. We have recovered almost like Rs 70 lakh crore out of the balance is only Rs 20 lakh crore from the peak level that we saw in September last year. So, I would say what has happened is that sectors have taken turns to rebound. We had RBI also infusing liquidity substantially, so that has also played out. What is happening now is the IT sector which is actually gradually coming back and the fact that there was an overhang on the sector with the recession risk being priced into the US economy and it was a spillover effect of the US-China conflict, the engagement that is happening between US and China in thawing the lock jam is something that can be seen as positive for the IT sector because a lot of investors were concerned about the order book uncertainty that it had created.I would say the overhang is actually receding. There is also a possibility that the market might start pricing in tax cuts in the US as well. These are the two things that are moving in favour of the IT sector. IT stocks have seen significant correction and there is a certain amount of valuation that people might be looking at. All put together, there does seem to be this whole rotation across sectors moving in favour of IT now. So, IT is one sector. There are other sectors like pharma where there is a possibility of rotation in favour of them. Auto is another one, news will have an effect on the alco-beverage companies. What the Maharashtra government has announced may create a certain amount of suspicion that other states might actually also announce. This could be because state governments are also struggling on the revenue side. There is a likelihood that people might expect or extrapolate this kind of a scenario in other states as well.I would say people will need to wait to see whether they get more clarity on this and whether this can create a trend. While we are positive fundamentally on space, we do have Allied Blenders in our list, but this is a regulatory risk that will need to settle down before we take a decisive view.
Economic Times
12-06-2025
- Business
- Economic Times
Is there a market rotation in favour of IT, pharma and auto? Dhananjay Sinha answers
Tired of too many ads? Remove Ads CEO & Co-Head– Institutional Equities,, says the IT sector is showing signs of recovery as US-China relations improve, easing investor concerns about order book uncertainty. Potential US tax cuts could further boost the sector. Significant corrections in IT stocks have created attractive valuations, leading to a possible rotation of investments into IT. Pharma and auto sectors may also benefit from this you look at the market profile, there has been a good rebound, I would say, after the initial correction. If you look at the market capitalisation of NSE, it had actually shrunk by almost like Rs 90 lakh crore to the lows in February or end of February and from there on, the market cap erosion has actually narrowed quite substantially because of the recovery that has happened. We have recovered almost like Rs 70 lakh crore out of the balance is only Rs 20 lakh crore from the peak level that we saw in September last year. So, I would say what has happened is that sectors have taken turns to rebound. We had RBI also infusing liquidity substantially, so that has also played out. What is happening now is the IT sector which is actually gradually coming back and the fact that there was an overhang on the sector with the recession risk being priced into the US economy and it was a spillover effect of the US-China conflict, the engagement that is happening between US and China in thawing the lock jam is something that can be seen as positive for the IT sector because a lot of investors were concerned about the order book uncertainty that it had created.I would say the overhang is actually receding. There is also a possibility that the market might start pricing in tax cuts in the US as well. These are the two things that are moving in favour of the IT sector. IT stocks have seen significant correction and there is a certain amount of valuation that people might be looking at. All put together, there does seem to be this whole rotation across sectors moving in favour of IT now. So, IT is one sector. There are other sectors like pharma where there is a possibility of rotation in favour of them. Auto is another one, news will have an effect on the alco-beverage companies. What the Maharashtra government has announced may create a certain amount of suspicion that other states might actually also announce. This could be because state governments are also struggling on the revenue side. There is a likelihood that people might expect or extrapolate this kind of a scenario in other states as well.I would say people will need to wait to see whether they get more clarity on this and whether this can create a trend. While we are positive fundamentally on space, we do have Allied Blenders in our list, but this is a regulatory risk that will need to settle down before we take a decisive view.
Economic Times
11-06-2025
- Automotive
- Economic Times
Regional liquor players better placed amid price hikes: Dipan Mehta
But I think let us just see the impact of this play out for the next couple of quarters or so. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads "One big concern with Maruti is this particular absence of a coherent, I would say, or very aggressive EV strategy and second part with Maruti is the fact that the freshness of the models is gone," says Dipan Mehta , Director, Elixir it is certainly going to have a temporary effect but that is more restricted to the EVs and not so much to the ICE vehicles. It was a semiconductor supply chain which was getting more and more difficult for the entire auto Oem it is going to have some temporary effect but the bigger picture here for Maruti per se and for a record we have a sizable investment from our perspective at least in our portfolios on Maruti Suzuki and we are getting increasingly cautious and concern because for one the company is well behind the curve when it comes to new electric vehicles. Mahindra & Mahindra clearly has the lead as do a lot of the other Chinese companies operating in India and they are gaining market share in a significant now, it may appear to be small, but Maruti lost three percentage point market share in the last 12 months or so and that could turn out to be even more sharper as more and more EVs come into play. So, one big concern with Maruti is this particular absence of a coherent, I would say, or very aggressive EV strategy and second part with Maruti is the fact that the freshness of the models is Maruti did very well for last two-three years because of many new models coming in, but now the lineup is not as exciting as it was looking at two-three years ago or so and there is far more competition. So, I am getting a bit cautious on Maruti. I have not thrown in the towel as yet, but within the auto space there are two companies which come to mind, usual disclosure we and our clients are invested, one is, of course, M&M which should do very well, even the tractor division should do very well because of better monsoon and last month numbers also were good and second, of course, is Eicher Motors . Both these companies if you track, the volume figures monthly, you will be quite impressed on the progress which they are making.I think Karan summarised it pretty well and basically, all I can add over here is that in our assessment of the alcobev industry, it is better to be with the regional players, the likes of Radico Khaitan or Allied Blenders . Of course, Allied Blenders is not a regional player. It is India's largest alcohol company in terms of volume. But there are other smaller players as well, Piccadily comes to mind, Som have to work in this industry through these regional players. They are able to manage the regulatory environment quite well. But there is, of course, the risk that a particular state in which they have a high sales concentration, may increase the levy of taxes. But on the whole, see, eventually these things do get absorbed and there could be a dip in volumes for the next 6 to 12 months or so and effect could come on the company's corporate profitability as these are great long-term secular growth stories. And if you buy them when the chips are down, when the cycle is down, then when the demand revives, these companies tend to have a super increase in their profitability as we have seen in the past. So, it is a sector we like to be overweight in. But I think let us just see the impact of this play out for the next couple of quarters or so.
Mint
11-06-2025
- Business
- Mint
Liquor stocks plunge up to 5% as Maharashtra govt hikes excise duty on IMFL
Liquor stocks, including Allied Blenders, United Spirits, and Radico Khaitan, came under sharp selling pressure right from the opening bell on Wednesday, June 11, falling up to 5% as investor sentiment turned bearish after the Maharashtra government approved revenue-boosting changes in the excise policy, including a hike in excise duty on Indian Made Foreign Liquor (IMFL) and the introduction of a new category, Maharashtra Made Liquor (MML).
Hans India
29-05-2025
- Business
- Hans India
Allied Blenders shares down over 8 pc so far in 2025 amid Q4 revenue dip
Mumbai: Shares of domestic spirits company Allied Blenders and Distillers Limited have fallen over 8 per cent so far in 2025, according to the latest data available on the National Stock Exchange (NSE). The stock closed at Rs 394.10 on Wednesday on NSE, down 0.48 per cent for the day. While it has gained around 25 per cent in the past month and 17 per cent over the last six months, it remains in the red for the year-to-date. Since the beginning of the year, the stock has dropped by 8.18 per cent, or Rs 35.10. The decline comes just days after the company announced its fourth-quarter financial results, which showed a sequential drop in revenue despite a strong improvement in net profit. According to its stock exchange filing earlier this month, the maker of Officer's Choice whisky, has reported a drop of 17.41 per cent in consolidated revenue on sequential basis at Rs 1,934.72 crore for the quarter ended March 31 (Q4 FY25), compared to Rs 2,342.38 crore in the previous quarter (Q3 FY25). Total income for the quarter also fell by 16.91 per cent on a quarter-on-quarter (QoQ) basis to Rs 1,948.99 crore from Rs 2,345.63 crore in Q3. However, net profit surged to Rs 78.62 crore in Q4, up 36.82 per cent from Rs 57.46 crore in the previous quarter. This is a sharp turnaround from the same period last year (Q4 FY24) when the company posted a net loss of Rs 2.4 crore. The profit growth was driven by strong consumer demand. The company sold 8.5 million cases during the quarter, marking a 20.8 per cent increase compared to 7.1 million cases in Q4 last year. Growth was strong across both the mass premium and prestige segments, the company said in its regulatory filing earlier this month. Commenting on the results, Allied Blenders Managing Director Alok Gupta said: "We are pleased to report a third consecutive quarter of robust performance following our IPO." "These results reflect the consistent execution of our four-point transformation strategy focused on premiumisation, supply chain security, margin improvement, and stronger governance," Gupta stated. The company's board has approved a final dividend of Rs 3.6 per share for FY25, subject to shareholder approval at the upcoming annual general meeting (AGM). 'If approved, the dividend will be paid within 30 days of the meeting. June 27 has been set as the record date to determine eligible shareholders,' the company said in its exchange filing. In addition, Allied Blenders plans to raise up to Rs 1,000 crore through various funding routes, including public or private offerings, preferential allotments, or qualified institutional placements. The proposed fundraising will also require shareholder and regulatory approvals. Allied Blenders' portfolio includes leading whisky brands like Officer's Choice, Sterling Reserve, and ICONiQ, along with brandy, rum, vodka, and gin.
